Delhi cabinet hikes MLA-LAD funds by 50%, BJP calls it ‘deception’

The Delhi cabinet on Thursday approved a 50% hike in MLA-LAD (local area development) funds, increasing the annual allocation to legislators from the current ₹10 crore to ₹15 crore.
Delhi chief minister Atishi and urban development minister Saurabh Bharadwaj announced the development after the cabinet meeting at CM’s office in Delhi secretariat on Thursday.
In a press conference held after the meeting, Atishi and Bharadwaj said that with the hike, Delhi has become the state (city) with the highest MLA-LAD fund allocation in the country.
“It is through the MLA-LAD funds that local residents can get small or large development works done in their area. The MLA-LAD funds represent the voice of the people to get their work done. Today, the Delhi cabinet has made a significant decision by increasing the fund from ₹10 crore per year to ₹15 crore per year. No other state in the country provides such a large MLA-LAD funds as Delhi,” Atishi said.
Atishi said Gujarat allocates ₹1.5 crore per MLA constituency, while states such as Andhra Pradesh and Karnataka provide ₹2 crore to each MLA in a year. Even larger states such as Maharashtra, Kerala, and Rajasthan allocate only ₹5 crore to each MLA, and thus Delhi’s allotment of ₹15 crore is most significant.
“Now, Delhi will provide ₹15 crore per year, not only the highest in the country but also three times more than most states. For the past 10 years, under the leadership of Arvind Kejriwal, the Delhi government has been working for the people of Delhi—whether they live in slums, unauthorised colonies, or big bungalows,” the chief minister said.
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Bharadwaj said the hike was necessitated because of the widespread damage caused by rains and more money would need to be spent on developmental work.
“This year, Delhi has experienced a lot of rain, which has caused damage to roads, parks, walkways, and walls. Also, there are issues with sewers in many places—they have become clogged or silted up, and new sewer lines have been laid. MLAs have been regularly bringing these issues to our attention, and the increased MLA-LAD funds will enable them to quickly provide relief,” Bharadwaj said.
Leader of Opposition in Delhi assembly Vijender Gupta termed the hike “nothing but a deception”.
“The increase in MLA-lAD funds is less likely to be spent on solving local problems and development, and more likely to be misused on the ruling MLAs’ commission minting, as well as being misused by contractors and officials. The Kejriwal government, in the first four years, only provided ₹10 crore instead of the promised ₹40 crore per MLA. This is evident from the deteriorating condition of internal roads and alleys in Delhi, and the crumbling sewer system, which is usually on which a majority of MLA-LAD funds are spent,” said Gupta.
“Now that the government and the assembly are nearing the final 100 days of their tenure, and with Aam Aadmi Party’s MLAs and councillors scattered, Atishi has announced an additional ₹5 crore to try and keep them together. Delhi residents are well aware that it will take about a month for this additional amount to be processed administratively, besides the time required for tender process. By then, the election code of conduct will come into effect and the funds will lapse,” he said.
Delhi BJP president Virendra Sachdeva demanded that the AAP government ensure that only development work is carried out within this time frame using the additional MLA-LAD funds. “Additionally, there should be complete audit supervision of all MLA-LAD fund expenditures made within the final 100 days,” said Sachdeva.